A faction within Germany’s conservative CDU party is advocating for a significant relaxation of the nation’s carbon emissions trading scheme (ETS-1), sparking debate and raising concerns about Germany’s commitment to its climate targets. Thomas Gebhart, a leading CDU politician, has publicly argued for extending the ability of industrial companies to emit carbon dioxide beyond the currently planned cut-off date of 2039.
In a commentary published in the Frankfurter Allgemeine Zeitung, Gebhart emphasized the need to balance economic stability with environmental responsibility, stating that ignoring the immediate economic challenges risks jeopardizing long-term prosperity. His proposal, backed by a CDU working group on environmental policy, centers on retaining the ETS-1 system as a “market-based instrument” but fundamentally altering its trajectory.
The core of Gebhart’s argument revolves around maintaining a flexible supply of emissions certificates beyond 2039, effectively delaying the tightening of emissions caps currently scheduled. Critics warn that this move would directly contradict Germany’s legally binding climate goals and likely exacerbate the climate crisis unless accompanied by substantial, additional measures to actively remove carbon dioxide from the atmosphere or a more aggressive reduction in initially issued certificates.
To mitigate potential price volatility within the ETS-1 system – a typical concern when altering existing market mechanisms – Gebhart’s plan also includes the proposal of establishing price corridors. Furthermore, he insists on maintaining the practice of free certificate allocation to industries facing international competition, arguing that this safeguard is necessary until the implementation of the planned carbon border adjustment mechanism (CBAM) proves “effective and free of excessive bureaucracy.
This advocacy for a more lenient approach to industrial emissions has drawn sharp criticism from environmental groups and opposition parties, who accuse the CDU of prioritizing short-term economic concerns at the expense of long-term climate stability. The debate highlights a growing tension within Germany’s political landscape regarding the pace and scope of its climate policy implementation and raises fundamental questions about the feasibility of achieving ambitious environmental targets while simultaneously sustaining a competitive industrial base. The effectiveness and fairness of the CBAM remain key uncertainties in the CDU’s calculations, with its potential to level the playing field for German industries dependent on its successful execution.